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INSURANCE ON FILE <br />WORK MAY 11QCEE1 <br />UNTILINSURA CEEXPIRE,5 <br />ac / CLCRKOF COUNCIL <br />DATE: q —10°-1 <br />A-2014-188 <br />4 CONTRACTOR AGREEMENT <br />Z TIIIS AGREEMENT, made and entered into this 5a' day of August, 2014 by and between <br />-Aegis ITS, Inc., a California corporation (hereinafter "Contractor"); and the City -of Santa Ana, -a <br />charter city and municipal corporation organized and existing under the Constitution and laws of <br />the State of California (hereinafter "City"). <br />" RECITALS <br />A. The City desires to retain a Contractor having special skill and knowledge in the <br />'—� field of traffic signal and street light systems maintenance, <br />d <br />B. Contractor represents that Contractor is able and willing to provide such services to <br />the City. <br />C. In undertaking the performance of this Agreement, Contractor represents that it is <br />knowledgeable in its field and that any services performed by Contractor under this <br />Agreement will be performed in compliance with such standards as may reasonably <br />be expected from a professional contracting firm in the field. <br />NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the <br />terms and conditions hereinafter set forth, the parties agree as follows: <br />1. SCOPE OF SERVICES <br />Contractor shall perform preventive and extraordinary maintenance on the citywide <br />traffic signal system and street light system, as set forth in the Scope of Work attached hereto as <br />Exhibit A, and incorporated, in full, by this reference. Said work shall be completed in <br />conformance with Contractor's Proposal, dated July 1.4, 2014, on file with the Public Works <br />Agency, Traffic Engineering Division. <br />2. COMPENSATION <br />a, City agrees to pay, and Contractor agrees to accept as total payment for its services, <br />the rates and charges identified in Contractor's Fee Proposal, attached hereto as Exhibit B. Rate <br />increase for the first additional twelve-month period (September 1, 2015- August 31, 2016) shall <br />be based on the year 2014's consumer price index (CPT) or 5%, whichever is the lowest. Rate <br />increase for the second additional twelve-month period (September 1, 2016- August 31, 2017) <br />shall be based on the year 2015's consumer price index (CPI) or 5%, whichever is the lowest. <br />The total sum to be budgeted under this Agreement shall not exceed $650,000.00, annually, <br />during the term of this Agreement. <br />b. I. Invoices for Traffic Signal System <br />Contractor shall prepare separate invoices for routine maintenance and extraordinary <br />maintenance. <br />For extraordinary maintenance billings: <br />